Los Angeles-based MedMen Enterprises Inc. is acquiring Chicago-based PharmaCann LLC in an all-stock transaction valued at $682 million. It is the largest acquisition in the cannabis industry in the U.S., and nearly doubles MedMen’s retail and cultivation facilities nationally. The deal will boost the cannabis company’s portfolio of licenses to 12 states that will permit the combined company to operate 79 cannabis facilities.

“This is a transformative acquisition that will create the largest U.S. cannabis company in the world’s largest cannabis market,” said Adam Bierman, MedMen’s CEO and co-founder. “The transaction adds tremendous scale to our vertically integrated business model by expanding our U.S. retail footprint across important growth market, while strengthening our cultivation and production capabilities.”

MedMen will add licenses in Illinois, New York, Pennsylvania, Maryland, Massachusetts, Ohio, Virginia and Michigan, and will have more than 800,000 square feet of planned cultivation and production capacity in supply-constrained markets.

MedMen currently operates 14 retail stores in California, Nevada and New York. Founded in 2014, PharmaCann currently operates 10 retail stores and three cultivation and production facilities.